* Note: Prices are in Million (M) USD.
Description:
Third Coast Bancshares, Inc. is a banking holding company of Third Coast Bank, SSB that offers various commercial banking solutions to small and medium-sized businesses and professionals. The company is headquartered in Humble, Texas.
These criteria used Company's Cash, EBITDA and Debt balance to determines its fair value:
Cash : $371 M
Debt : $133 M
EBITDA : $0 M
This criteria used industry in which company operates:
Sector: Financials
Industry: Banks - Regional
Based on industry, 3 points assigned.
This criteria used Company's Price To Earning (P/E) Ratio to determines its fair value:
Forward PE Ratio: 11.40
Since Forward PE Ratio is less than 15, 5 points assigned.
This criteria used Company's ability to convert Sales into free cash flow to determine fair value:
Average Free Cash Flow: $12 M
Average Revenue: $167 M
Revenue Converted To Free Cash FLow(%): 7%
Avg Free Cash Flow Growth Per Year (Last 5 Years): 90.26%
Since Free Cash Flow (FCF) to Revenue percentage is less than 15, 1 point assigned.
This criteria used company's growth potential to calculate its fair value:
Latest Revenue (2024-12-31): $338 M
Revenue 4 Years Ago (2020-12-31): $84 M
Last 5 Years Average Revenue Growth: 61%
Since Revenue Growth is greater than 20, 5 points assigned.
This criteria used Company's ability to buy back its own share:
Latest Share Count (2024-12-31): $17 M
Share Count 5 Years Ago (2020-12-31): $6 M
Company is not buying back its own shares, 0 points assigned.
This criteria used Company's dividend payout ratio to determine its fair value:
Next Year Earnings Per Share (EPS): $3.20
Trailing 12-Month Earnings Per Share (EPS): $3.06
Average Earnings Per Share (EPS): $3.13
Dividend Per Share (DPS): $0
Payout Ratio: 0%
Dividend Yield: 0%
Since Dividend Per Share is less than or equal to 0, 0 point assigned.
Since Dividend Yield is less than 1, 0 point assigned.
This criteria used Company's Return On Equity (ROE%) to determine its fair value:
Average ROE: 7%
Since Average ROE is less than 10, 1 point assigned.
This criteria used Company's current price to its 52 week low price to determines its fair value:
Current Price: $36
52-Week Low: $21
Threshold Price (15% Above 52-Week Low): $24
Since Current price is not within 15% threshold, 0 point assigned.
This criteria used Company's Market Cap to determines its fair value:
Market Capitalization: $532 M
Since Market Cap is less than 10B, 1 point assigned.
% Exposure to Total Portfolio
Based on the market cap, we recommend do not exceed 1% exposure of Total Portfolio.
Value-Trade has assigned 16 points to above Third Coast Bancshares Inc (TCBX) stock.
Last 4 Years Avg PE (Limited to last 4 years of EPS data) 15, Fair Value PE 12, Industry Based PE is 13 and Growth based PE is 30. Based on these all values average assigned is 17.50.
Value-Trades has assined P/E value 17.50. Since an average (Current Year EPS + Next Year EPS) earning per share is $3.13.
The fair value of Third Coast Bancshares Inc (TCBX) stock should be (17.50 x $3.13) = $54.78
